The recessionary GDP gap represents the
A) Amount by which aggregate demand must increase to reach full employment.
B) Value of the goods and services that could be produced but were not due to unemployed resources.
C) Leakages minus injections.
D) Amount by which actual investment differs from desired investment.
Correct Answer:
Verified
Q37: The marginal propensity to consume is
A)That part
Q38: A decrease in sales expectations may shift
Q39: Assuming an upward-sloping AS curve,if an economy
Q40: If actual investment exceeds desired investment,then
A)A recession
Q41: The value of the multiplier will be
Q43: There is a trade-off between unemployment and
Q44: Which of the following is eliminated when
Q45: Which of the following situations results in
Q46: Suppose an economy has an upward-sloping AS
Q47: Assuming the economy is at full employment,a
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